In a move that offers considerable relief to consumers burdened by inflation, Pakistan’s interim administration announced a significant reduction in fuel prices on Sunday.
The cost of petrol has decreased by Rs40 per litre, while high-speed diesel (HSD) is now cheaper by Rs15 per litre for the ensuing fortnight.
Revised Pricing Structure In Effect From October 16
As per the Ministry of Finance’s notification, petrol prices have been recalibrated to Rs283.38 per litre, with HSD now costing Rs303.18. This decision comes in response to the fluctuating global petroleum prices and a favourable shift in the exchange rate. The revised pricing structure will be implemented from midnight on October 16 and applicable until the month’s end.
The following are the revised rates for the fortnight beginning October 16:
- Petrol: Previously at 323.38, now reduced to 283.38
- High-Speed Diesel (HSD): Down from 318.18 to 303.18
Prices for other petroleum products have also been slashed in a broader sweep of revisions. Light diesel sees a price cut of Rs19.59 per litre, and kerosene oil gets considerably reduced by Rs22.43 per litre. Consequently, kerosene oil is now priced at Rs214.85 per litre for the next two weeks.
Zero GST and Adjusted Petroleum Levy Rates
Under the stewardship of Prime Minister Anwar-ul-Haq Kakar, the caretaker government has implemented a zero general sales tax (GST) on all petroleum products. Meanwhile, petrol’s petroleum levy (PL) stands at Rs60 per litre.
However, in a bid to meet the fiscal year’s tax revenue goals, the government has slightly increased the levy on diesel. It will now be Rs55 per litre, marking a rise of Rs5, underscoring the administration’s balancing act between providing public relief and achieving revenue targets.
